SOLUTION: A new car has a list price of $21,500. Suppose that the dealer markup on this car is 5%. What is the dealer's cost? (Please show your work so I know how you got the answer. Thanks!
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Question 1084990: A new car has a list price of $21,500. Suppose that the dealer markup on this car is 5%. What is the dealer's cost? (Please show your work so I know how you got the answer. Thanks!) Answer by jorel1380(3719) (Show Source):
You can put this solution on YOUR website! If the dealer mark-up is 5%, then the dealer is selling the car for 105% of what he paid for it (100% dealer's cost + 5% mark-up). So:
105%x=21500
1.05x=21500
x=21500/1.05
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